GBP/JPY Price Forecast – British pound continues to rip higher

At the moment, it appears that the Brexit may be delayed. That has sent the British pound much higher, and when you look at the chart it’s not very difficult to imagine that there was a bullish flag that just got broken to the upside about five days ago. That being the case, it’s very likely that the measured move will eventually get hit, meaning that we should go to the ¥155 level. We obviously will get there overnight, and at this point a lot of patience will be needed to take advantage of value when it appears. This means sitting on your hands over a couple of days if necessary but recognizing that eventually you will get a better price.

GBP/JPY  Video 28.02.19

Looking forward, I believe that the ¥145 level is going to be a bit of a base for this market, and now essentially is serving as the “floor” in the market. I have no intentions of shorting this market, and quite frankly hope that we get some type of negative headline out there that causes the machines the start selling drastically. I will be more than willing to take the other side of that trade as soon as the momentum slows down. I have been saying for quite some time that I believe the British pound has bottomed, and unless we get a “no deal Brexit”, that looks look very likely to be the case. Be patient, we are looking at a trend change and these take time.

Please let us know what you think in the comments below